You should provide your initial response to the IRS in the format specified in the letter you received. Generally, the IRS will request that you submit documentation to support items claimed on your tax return. Here are the steps you should follow:
- Review the Letter: Carefully read the letter from the IRS to understand what information and documentation are being requested.
- Gather Documentation: Collect all the necessary documents that support the items in question on your tax return. Ensure that you have photocopies of the original documents, as you should not send original documents to the IRS.
- Submit Documentation: Attach the photocopies of your original documents to the letter and send them to the address provided in the letter. Alternatively, you may be given the option to fax the documents to a number provided in the letter. If you are faxing your documents, include your name and social security number on each page to ensure all pages are associated with your case.
- Explanation if Necessary: If you are unable to provide verification of an amount claimed, provide an explanation of the issue and how the amount was determined.
- Timeliness: Ensure that you respond by the deadline given in the letter. If you are unable to meet the deadline, call the number on the letter to discuss your situation and/or request additional time.
- Contact Information: If you have questions or need further clarification, you can call the number on the letter or write to the IRS at the address shown on the letter.
By following these steps, you can ensure that your initial response to the IRS is complete and timely, which will help in resolving the audit process efficiently.
Sources:
Publication 1 (9/2017)
Publication 5 (4/2021)
IRM Part 3. Submission Processing. Chapter 42. Electronic Tax Administration. Section 4. IRS e-file for Business Tax Returns
CC-2016-005
IRM Part 21. Customer Account Services. Chapter 3. Taxpayer Contacts. Section 3. Incoming and Outgoing Correspondence/Letters
CC-2012-017
Publication 3498-A (05/2021)
